Salaries for car salesman: Car Salesman Salary | Salary.com

The Average Salary of a Car Salesman | Work

By Jayne Thompson Updated July 24, 2018

If you’re outgoing, relationship-oriented and possess the gift of gab, you might consider a career as a car salesperson. These individuals know a lot about the vehicles they’re selling and have the type of persuasive selling skills that can overcome resistance and turn a “maybe” into a “yes.” Most car salespeople work for a dealership, and their base salary may be fairly paltry as most of their income comes from commissions based on the dealership’s gross profit on the car. So, the more cars you sell, the more money you earn.

Job Description

First and foremost, you’ll be selling cars. There are a number of tasks associated with this objective, including talking customers through the features of various models, taking them on test drives, negotiating the sale price and trade-ins, explaining options for warranties and financing and coordinating after-sales services, such as repairs and valeting. You’ll also be responsible for preparing the paperwork associated with a sale. Outstanding customer service skills are essential for this job in order to enhance the buying experience for the dealership’s customers. You’ll also need solid persuasive skills to hit your sales targets and earn a good commission.

Education Requirements

There are no formal education requirements for this position, and most car salespeople enter the field with a high school diploma or GED. More important are a good work ethic and the ability to get along with a broad customer base. While some dealerships prefer experienced sales consultants, most appreciate that you have to walk before you can run and will train you for the job. An associate degree in business or marketing, or a qualification in automobile repair, could increase your job or promotion prospects in the long run.

One of the biggest perks of being a car salesperson is the ability to make more money the harder you work. Generally, the yearly income for a car salesperson is $39,903 in 2018. This amount is the median salary, or the salary in the middle if you lined all the car sales consultants up from the lowest to the highest paid.

Industry

Car salespeople generally work regular business hours including weekends and holidays, although it really depends on the dealership. There may be opportunities for overtime during busy periods. Most of the working day is spent at the dealership, but you’ll also be taking people out on short test drives. The job can be relatively strenuous when bending and stooping is involved, and you’ll spend most of the day on your feet. You may have to do some studying to learn about the cars you’re selling. Purchasers ask every question under the sun, and you’ll stand a better chance of making sales if you can communicate the benefits of the car properly.

Years of Experience

While most car salespeople are paid a base salary, this may be somewhere around the minimum wage. The majority of their earnings is based on how much they sell, which is called commission. The exact percentage varies from dealership to dealership, but it usually falls in the 20 to 25 percent range. That’s a percentage of the dealership’s profit, not the ticket price of the car. So, if you sell a car for $20,000 and the dealership makes a $5,000 profit, you’d earn $1,000 based on a 20-percent commission rate.

Since more sales equal more money, it’s hard to put a figure on the average car salesman salary across the industry – it really depends on your location, customer demographics, type of cars you’re selling, reputation of the dealership and other variables. For most car sales consultants, the pay scale ranges from $23,574 to $95,627 annually, with the median salary coming in at $39,903. Align yourself with a successful dealership and put the work in, however, and the payout could be well into six figures.

Job Growth Trend

Employment for all sales consultants, which includes car salespeople, is expected to grow by just 2 percent by 2026. This much slower-than-average growth rate is largely due to retailers taking their services online and away from brick-and-mortar stores. The rise in online sales doesn’t affect car sales consultants, however, since most people still prefer to visit a dealership in person when contemplating a new car purchase. What does affect the number of jobs is the overall economy. People tend to buy cars when wages are growing and disposable incomes are high, boosting demand for car sales consultants.

References

• Bureau of Labor Statistics: Retail Sales Workers Pay
• Salary.com: Car Salesperson
• PayScale: Sales Consultant, Automobile/Cars Salary
• Bureau of Labor Statistics: Retail Sales Workers Job Outlook

Writer Bio

Jayne Thompson earned an LLB in Law and Business Administration from the University of Birmingham and an LLM in International Law from the University of East London. She practiced in various “big law” firms before launching a career as a business writer. Her articles have appeared on numerous business sites including Typefinder, Women in Business, Startwire and Indeed.com. Find her at www.whiterosecopywriting.com.

The Complete Guide Know Your Pay in 2023

How much do car salesmen make?

To put it simply, the average car salesman salary in the US is $55,811 per annum.

However, the salary of a car salesman depends on several factors, especially one’s skills as a sales representative.

Your salary will largely depend on how you pitch the sale to the customers and the number of cars you can sell in a month. The more cars you sell, the higher your income.

How much commission does a car salesman make?

Depending on the dealership, your car salesman commission is generally up to 25% of the commission on front-end profit for every car they sell.

Besides your skills as a salesman and the dealership company that you work for, location is another factor that comes into play while determining your salary.

Read on to learn more about the following FAQs related to car salesman salary:

• How do car salesmen get paid?
• What is the average car salesman’s salary based on car dealership companies?
• Which US cities pay the highest salaries for car salesman jobs?
• What are some car salesman requirements?
• What are some must-have car salesman skills?
• How can you improve your car salesman skills?
• What are some of the common car salesman salary FAQs?

How Do Car Salesmen Make Money?

Unlike other job profiles, a car salesman may or may not earn a fixed wage (depending on the dealership).

Rather, your car salesman’s salary is directly dependent on your sales skills and the ability to persuade customers.

They generally earn through commission rates which depending on the dealership company, can range between 20% to 40%.

So how much money do car salesmen make per car?

If you sell about 10 cars in a month and on average you make about $40k per year, you will be earning $330 per car.

But, that’s just a rough estimate. Other factors such as back-end income and car sale quotas also come to play when determining a car salesman salary.

Every dealership has different set quotas that car salesmen have to meet every month.

Likewise, if you manage to sell more than the number of cars the monthly quota calls for, you may get awarded a higher commission rate for the following sales.

However, this scenario can also be reversed. If you fall short of meeting the monthly sales quota, you will earn less commission and there’s a chance that you might even lose your job.

Other than that, the dealership might offer their sales representatives bonuses under various conditions like if they sell x number of cars in 6 months or so.

Also read: How to draft an impeccable sales representative resume?

Car Salesman Salary Based on Different Dealership Companies

Since the commission rate is based on the net profit that car dealership companies make on a given car, a luxury car salesman’s salary is naturally higher than that of a used car salesman’s salary.

To put it in perspective, a luxury car salesman’s salary averages about $84,823 per annum, a used car salesman’s salary is $38,100 per annum in the US.

Take a look at the following table showcasing the average salaries of luxury car salesmen based on different automobile companies:

Meanwhile, here’s a list of highest paying dealership companies in the US for car salesman salary:

Also, the following are some of the highest-paying US cities for car salesman jobs salary:

Also read: What are the top interview Q&As for sales representatives?

The minimum education requirement to become a car salesman is a high school diploma or GED equivalent.

But, if you wish to grow professionally and get promoted to higher positions like sales manager, or a senior-level sales executive profile you need to get a bachelor’s degree in finance or business.

Also, some states in the US like California require car salesmen to pay a certain fee and submit an application to the Motor Vehicles Department before they begin selling cars in the state.

These requirements are likely to vary in different states so it’s best to check the requirements with your potential employers.

Apart from these requirements, possessing the right skill set is crucial if you want to succeed as a car salesman.

Skills such as active listening, communication, interpersonal skills, and persuasive skills are a must for an aspiring car salesman.

Also read: How to make product management resumes with sales or marketing background?

Car Salesman Skills To Help You Earn More

The following are some of the must-have skills that can also affect your car salesman salary:

Depending on what stands true to you, you can include these skills in your car salesman resume to increase your chances of getting shortlisted while applying for car salesman jobs.

To keep up with the grueling needs and the competitive nature of work, you must always try to work on your sales strategies and sales techniques.

Assess your customer’s needs and analyze the changing expectations of the demographic you are catering, to effectively increase your car sales.

You can also take up certification courses to acquire or polish your car salesman skills.

The following is a list of some of the certification courses you can consider taking:

• Automotive Sales Professional
• Commercial Driver License (CDL)
• Certified Sales Professional (CSP)
• Sales Management
• Certified IT Consultant (CITC)
• Certified Professional, Life and Health Insurance Program (CPLHI)

Also read: How to draft a kickass sales manager resume?

Car Salesman Salary FAQs

We have covered a few frequently asked questions regarding car salesman salary in this section:

Do Car Salesmen Make Good Money?

Yes, car salesmen can make a decent amount of money provided they are on top of their sales game. The more cars they sell, the higher the income of a car salesman.

Can a Car Salesman Make Six Figures?

Yes, a skilled car salesman can make six figures per annum. If your goal is to make 100k in a year, you must be able to make 8,333 per month selling cars.

How Much Do Car Salesmen Make in Texas?

The salary of a car salesman in Texas can range from $28237 to $75692 while the average annual salary of a car salesman in Texas is $36544.

Do Car Salesman Get Paid Hourly?

No, car salesmen do not get paid on an hourly basis. They get paid based on a fixed rate of commission on every car they sell.

Also read: What are the top soft skills that you need to advance in your career?

Key Takeaways

• The car salesman’s salary largely depends on the number of cars you can sell in a month. The more cars you sell, the higher your income.
• If you manage to sell more than the number of cars the monthly quota calls for, you may get awarded a higher commission rate for the following sales, therefore increasing your monthly salary.
• The minimum education requirement to become a car salesman is a high school diploma or GED equivalent.
• The requirements to become a car salesman varies in different states so it’s best to check the requirements with your potential employers.
• Active listening, great communication, interpersonal skills, and persuasive skills are some of the crucial skills to succeed as a car salesman.
• You must consider taking up sales certification courses to polish your sales skills and techniques.

Visit Hiration’s ChatGPT-powered career activator platform which provides 24×7 chat support to get expert advice on your career-related queries. You can also reach out to us at support(at)hiration(dot)com.

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essence, salary, duties, where he works and what he does

Professions

18.01.22

This text was written in the Community, it retains the author’s style and spelling

Andrey Sobolev

Author profile

Profession: salesman in a car dealership

City: St. Petersburg

Age: 23 years 900 03

Experience: 1 year

Income: 50,000-300,000 R/month depending on sales

Choosing a profession

After the army, I got a job at a St. Petersburg water utility and worked as an installer for a year and a half, earning 40,000. Over time, I realized that this is the most unpromising job, because I do not have a higher education, and it’s hard to climb the career ladder in state structures without connections.

I always wanted to make money by communicating with people, I like to communicate and help people. I started looking for alternatives, realizing that I can earn with my head. I started with sales, worked a little at Beeline selling the Internet – a good experience, but not enough money. Quite by accident I got into a car dealership, through friends they invited me for an interview.

It was hard, the market is very competitive, but here I have no experience and no one believed in me, even myself. I did an internship for 2 months, getting 18 thousand, and after that everything went smoothly, I didn’t think about money, but about how work gives me pleasure. Gaining experience, I went out in one month with an income of 320 thousand, I myself was shocked and sellers with many years of experience were also surprised!

Currently I work in a car dealership and I really like it, especially since the salary is good, but you need to try very hard not to get out of the rut, because laziness and low efficiency are solved very simply by dismissal.

The essence of the profession

I am engaged in the selection of cars for people, to some extent I make decisions for them if they are not ready 🙂

I like that people thank me for my work and leave satisfied, although not always with current prices and market conditions.

The most difficult thing is to keep the brand, constantly smile and be friendly, people suck energy very much, but this is the specifics of the work. Not suitable for everyone, high turnover, hard morally, when you burn out, you need to find the strength in yourself to move on. And also there is no salary – what you earned is what you ate.

Place of work

Official dealer. I’ve been working for a year. Employees are valued, very much so, but only if they are efficient and bring income to the company. Fairly strict with discipline.

Working day

I arrive at 9. We play meetings with senior salespeople (listen to calls, play a presentation, imitate a closed client, etc.). During the rest of the day, I deal with the turnover – accepting incoming traffic, issuing cars, signing, working with existing clients, test drives.

Case

One day an older man came with his wife, they drove a car with a mechanic, they also wanted a mechanic. Having decided to test my abilities as a salesman, I tried to convince the person that the automatic was much better and more practical, although the person had no experience in driving an automatic. After a couple of hours, I won, we signed a contract, signed a loan and postponed the issue to the next day.

When I inspected the car for delivery, I realized that it was a mechanic (I chose the wrong car in the program), although we agreed on an automatic machine, my jaw dropped, I didn’t know how to tell this to the client, because he is already crazy about the machine.

There was no way out, I said it like it was, he was very angry and sad and until the last he could not accept it, but in the end we made a discount of about 150,000 to smooth the situation and everything was decided. I was very ashamed, but now I check everything thoroughly before making a contract.

Part-time jobs

You can earn extra money by going out on your weekends and taking an additional amount of traffic, but you need to work it out with high quality and bring results, otherwise you can be disconnected from traffic.

Income

Earnings from 18 thousand and without a ceiling, it all depends on you: you sold a lot – you earned a lot. My personal record is 300+ thousand in a month, it was hard and fun.

Expenses

1. I bought a car with a loan of 31 thousand per month.

2. I help my mother with a mortgage of 20 thousand per month.

3. iPhone in installments 10 thousand

4. Credit cards – total debt 200+.

5. Personal expenses per month 30-50 thousand (gasoline, restaurants, clothes, spending on a partner).

Savings

I have to save when there is a hungry month, and in general I try to wean myself from rash spending. But at the age of 20 it is very difficult, I have never made money like this and I want everything 🙂

Financial goal

I want to pay off the car in a year. And start saving for a town house.

I want to close all loans and start investing (it’s hard to save money, they make my eyes hurt, I want to spend everything!

I want to travel around Europe.

Future

I really like working as a salesperson and don’t plan to change anything in the near future.

I want to get a stable income of 300+ as there are colleagues who get it every month, given that the work is not stable.

Perhaps in the future I will go online, studying the topic of online marketing.

Professions. Readers share their professional experience.

Jobs | Auto-Avangard is the official dealer of BMW in Moscow

LIST OF VACANCY:

Mechanic, car mechanic

Requirements:

• Knowledge of the vehicle;
• Work experience from 1 year.

Responsibilities:

• Car repair;
• Troubleshooting and troubleshooting.

Conditions:

• Work schedule shift 3/3;
• Social package;
• High wages.

Diagnostician

Requirements:

• Experience with diagnostic equipment from 1 year;
• Knowledge of the structure of cars, all car systems, electronic systems.

Responsibilities:

• Troubleshooting electronic problems in the car.

Conditions:

• Work schedule shift 3/3;
• Social package;
• High wages.

Painter

Requirements:

• Experience as a car painter.

Responsibilities:

• Preparation for painting, painting, polishing car body elements.

Terms:

• Shift work 4/4;
• Free meals;
• Social package;
• High wages.

Rebar fitter

Requirements:

• Experience as a fitter.

Responsibilities:

• Troubleshooting, cutting and installation of auto glass, removal and installation of car body parts.

Terms:

• Shift work 4/4;
• Free meals;
• Social package;
• High wages.

Tinsmith

Requirements:

• Tinsmith experience.

Responsibilities:

• Car body repair (carrying out slipway, straightening, welding, preparatory work).

Terms:

• Shift work 4/4;
• Free meals;
• Social package;
• High wages.

Car dealer

Requirements:

• Desire to work and earn money;
• At least 1 year experience in sales is desirable;
• Competent speech, presentable appearance;
• Advanced PC user;
• Category B driver’s license.

Responsibilities:

• Reception of incoming calls;
• Customer consultation by phone and in the salon;
• Carrying out test drives;
• Sale of cars.

Conditions:

• Work schedule 5/2, floating weekends;
• Social package;
• High wages.

Car appraisal manager

Requirements:

• At least 1 year experience in car sales or appraisal is welcome;
• Presentable appearance;
• Advanced PC user;
• Driver’s license category “B”;
• Competent speech.

Responsibilities:

• Communication with customers who want to exchange or sell their car;
• Determination of the residual value of used vehicles;
• Formation of a used car warehouse for the company;
• Interaction with related departments at all stages of the transaction.

Conditions:

• Work schedule 5/2, floating weekends;
• Social package;
• High wages.

Secretary at the reception

Requirements:

• Presentable appearance, accuracy, attentiveness, diligence;
• Work experience is not required.

Responsibilities:

• Reception and distribution of incoming telephone calls;
• Keeping statistics of incoming calls;
• Working with office equipment;
• Registration of incoming and outgoing correspondence;
• Meeting of visitors.

Terms:

• Shift work 4/4;
• Free meals;
• Social package;
• High wages.

Spare Parts Seller

Requirements:

• Work experience or specialized education;
• User PC.

Responsibilities:

• Advising clients on the purchase of spare parts;
• Search for spare parts in the electronic catalog;
• Determining the cost of spare parts;
• Ordering;
• Delivery of spare parts to the customer.

Conditions:

• Work schedule shift 3/3;
• Social package;
• High wages.

For interested vacancies, please call:
+7 (495) 730-03-91, +7 (495) 229-20-85

• 9000 2 Main page

• CONTACTS

• Vacancies

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  Avto-Avangard LLC TIN 5024084190 PSRN 1065024025868

  BMW Auto Avangard is an official BMW dealer in Moscow. Sale of new BMW cars and used cars. BMW service, repair, original spare parts and accessories.

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  Prices are for informational purposes and under no circumstances are they a public offer determined by the provisions of Article 435 of the Civil Code of the Russian Federation.
  All information contained on the Site is for reference only and is not exhaustive. Information about the sale of cars, the presence and or absence of cars from official dealers may not correspond to reality and / or lose relevance at the time of contacting an official dealer.